JORDAN ASKS FOR VIEWS ON FTA MEETINGS

UNCLAS AMMAN 002819

SIPDIS

SENSITIVE

USTR FOR NOVELLI/SAUMS
CUSTOMS FOR CRAIG WALKER, FARAH NAIM, LEON HAYWARD
USDOC/4520/ITA/MAC/ONE/PTHANOS
OPIC FOR ABED TARBUSH
PASS EXIMBANK
TREASURY FOR PIPATANAGUL

E.O. 12958: N/A
TAGS: ETRD EINV JO OPIC
SUBJECT: JORDAN ASKS FOR VIEWS ON FTA MEETINGS


This is an action request. Please see paragraph 6.


1. (sbu) Majed Hammoudeh, the director of the Foreign Trade
Policy Directorate at the Ministry of Industry and Trade
(MOIT),called to broach the subject of bilateral meetings
foreseen by the Free Trade Agreement.

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Rules of Origin Committee
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2. (sbu) According to the FTA, an initial meeting of the
"Rules of Origin Committee" should be held within six months
of entry into force of the agreement, i.e. by June 17, 2002.
Hammoudeh said MOIT Minister Salah al-Bashir is inclined to
offer to host a meeting in Amman. The Jordanian delegation
would be led by MOIT Secretary General Samer al-Tawil and
would include senior officials of the Customs Directorate.
In addition to broader rules of origin issues, the Jordanians
would like to use the meeting to enhance practical
cooperation between Jordanian and U.S. Customs. (Septel will
provide more background on customs implementation issues that
have come up since December.)

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Joint Commission
--------------


3. (sbu) Al-Bashir is also inclined to propose that the
first annual meeting of the "Joint Commission" be held in
Amman during the month of September. He would like to build
around the official meetings a major event (such as a
conference or seminar) highlighting bilateral trade and
investment opportunities. He foresaw inviting U.S.
businesspeople, perhaps as a formal trade and investment
mission, to attend this event.

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Comment and Action Request
--------------


4. (sbu) In post's view, a meeting of the Joint Commission
could be effectively structured either in Washington or Amman
depending on the availability of the appropriate U.S.
officials. We think it would be most useful to use a meeting
as a vehicle for public/private sector side events like the
one broached by al-Bashir. If the Joint Commission were to
meet in the U.S., for example, various other Jordanians have
suggested using it as a hook for a high-level Jordanian trade
and investment mission. In either case, a substantial amount
of preparation -- and hence lead-time -- would be needed on
the Jordanian side to make side events work. We would
encourage participation in side events in Jordan or the
United States by U.S. agencies with trade and investment
mandates, including Commerce, State, Customs, EXIM, TDA and
OPIC.


5. (sbu) As for the Rules of Origin meeting, we suspect
that it could be held on the margins of the Joint Committee
meeting (or by video conference if it is important to meet
before the June 17 date). Hammoudeh suggested that the
format and timing of a meeting would depend on how difficult
or complex the agenda items would be.


6. (sbu) Action Request: Hammoudeh said MOIT would
appreciate informal guidance on how best to pursue these
issues with the U.S. government. He said al-Bashir would
then be prepared to write to USTR or to the Ambassador with a
formal proposal. Per the Jordanian request, we would
appreciate receiving, ideally before June 15, points that we
could use with Hammoudeh and the Minister.
Gnehm